Since the all-time high in July, the AEX price has lost positive momentum. At least, that’s what it’s starting to look like. The longer it takes for the bulls to take control again, the more it looks like the bull market is over.
Should we worry about the AEX?
Is the bull market over?
Based on the graph below, the price of 920 points in particular seems to be an important resistance for the AEX. The AEX is currently trading at 894 points and sentiment is slowly starting to deteriorate.
Not least because the American stock market indices are doing a lot better, relatively speaking, than the AEX. While the AEX is quite far from its all-time highs, the S&P 500 still manages to set record after record.
This relative weakness compared to the American brothers will do little to improve confidence in the AEX.
While the AEX had to record a decline of -3.57% in recent months, the S&P 500 and the Nasdaq both recorded decent returns.
Can the situation still be reversed?
Of course, the situation can still turn around for the AEX. We should also not forget that the Dutch stock market index has shown an excellent return from the start of 2024.
Unfortunately, that return cannot match that of the big brothers from America, but after the explosive increases of the first months of 2024, it is not surprising that the AEX needs to take a breather.
It may well be that after a long period of downward and sideways price action, we will soon bounce back with the AEX. Not least because central banks around the world have started cutting interest rates, while the global economy appears to be holding up.
What do you think? Will the AEX bull market continue in 2024 or should we be satisfied with the current return of over 14%?
Source: https://newsbit.nl/aex-koers-blijft-kwakkelen-is-de-bullmarkt-voorbij/
